Sales-Value-at-Split-off Method Alomar Company manufactures four products from a

Question

Sales-Value-at-Split-off Method Alomar Company manufactures four products from a joint production process: barlon, selene, plicene, and corsol. The joint costs for one batch are as follows: Direct materials $67,900 Direct labor Overhead 34,000 25,500 At the split-off point, a batch yields 1,400 barlon, 2,600 selene, 2,500 plicene, and 3,500 corsol. All products are sold at the split-off point: barlon sells for $15 per unit, selene sells for $20 per unit, plicene sells for $26 per unit, and corsol sells for $35 per unit.

Explanation / Answer

To allocate the joint cost using the Sales-value-at-split-off method.First we have to calculate sales value

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